1. Motivation 1

2.  Motivation ◦ The processes that account for an individual’s willingness to exert high levels of effort to reach organizational goals, conditioned by the effort’s ability to satisfy some individual need  Effort: a measure of intensity or drive  Direction: toward organizational goals  Need: personalized reason to exert effort ◦ Motivation works best when individual needs are compatible with organizational goals 2

3. 3 Unsatisfied NeedTension EffortSatisfied Need Tension Reduction Intensity Direction Persistence

4.  Maslow’s Hierarchy of Needs Theory ◦ Needs were categorized as five levels  Individuals must satisfy lower-order needs before they can satisfy higher order needs  Satisfied needs will no longer motivate  Motivating a person depends on knowing at what level that person is on the hierarchy ◦ Hierarchy of needs  Lower-order (external): physiological, safety  Higher-order (internal): social, esteem, self- actualization 4

5. 5 Self- Actualization Esteem Social Safety Physiological

6.  Herzberg’s Motivation-hygiene Theory ◦ Job satisfaction and job dissatisfaction are created by different factors  Hygiene factors: extrinsic (environmental) factors that create job dissatisfaction  Motivators: intrinsic (psychological) factors that create job satisfaction ◦ Attempted to explain why job satisfaction does not result in increased performance  The opposite of satisfaction is not dissatisfaction, but rather no satisfaction 6

7. 7 Achievement Recognition Work Itself Responsibility Advancement Growth MotivatorsHygiene Factors Supervision Company Policy Relationship with Supervisor Working Conditions Salary Relationship with Peers Personal Life Relationship with Subordinates Status Security Extremely SatisfiedExtremely DissatisfiedNeutral

8. 8 SatisfiedDissatisfied Traditional View Motivators SatisfactionNo Satisfaction Hygiene Factors No DissatisfactionDissatisfaction Herzberg’s View

9.  Equity Theory ◦ Proposes that employees perceive what they get from a job situation (outcomes) in relation to what they put in (inputs) and then compare their inputs- outcomes ratio with the inputs-outcomes ratios of relevant others  If the ratios are perceived as equal then a state of equity (fairness) exists  If the ratios are perceived as unequal, inequity exists and the person feels under- or over-rewarded  When inequities occur, employees will attempt to do something to rebalance the ratios (seek justice) 9

10.  Equity Theory (cont’d) ◦ Employee responses to perceived inequities:  Distort own or others’ ratios  Induce others to change their own inputs or outcomes  Change own inputs (increase or decrease efforts) or outcomes (seek greater rewards)  Choose a different comparison (referent) other (person, systems, or self)  Quit their job ◦ Employees are concerned with both the absolute and relative nature of organizational rewards 10

11. 11 Person 1 Inequity, under-rewarded Equity Inequity, over-rewarded Ratio of Output to InputPerson 1’ s Perception Person 2 Person 1 Person 2 Person 1 Person 2

12.  Equity Theory (cont’d) ◦ Distributive Justice  The perceived fairness of the amount and allocation of rewards among individuals (i.e., who received what)  Influences an employee’s satisfaction ◦ Procedural Justice  The perceived fairness of the process used to determine the distribution of rewards (i.e., how who received what)  Affects an employee’s organizational commitment 12